Humana Stock Declines Amid Medicare Advantage Concerns

Humana's stock fell by 12.8% after the company cut its 2023 earnings guidance due to higher Medicare Advantage costs and increased inpatient utilization. The company's adjusted insurance segment benefit ratio is expected to be higher than previously guided, resulting in lower earnings per share for 2023. Humana will provide an update on its performance and 2024 guidance earlier than planned and anticipates industry-wide impacts on emerging trends. This news led to a drop in the company's stock value.